§ 63A-11. Special user project bonds or notes. - North Carolina Statutes

§ 63A‑11.  Special userproject bonds or notes.

(a)        The Authority may,subject to the provisions of this section, G.S. 63A‑9, and, ifapplicable, G.S. 63A‑10, issue, at one time or from time to time, bondsand notes to finance or refinance special user projects. Bonds and notes tofinance or refinance special user projects may be sold irrespective of theinterest limitations in G.S. 24‑1.1.

(b)        Bonds or notesissued by the Authority under this section are special, limited obligations ofthe Authority payable solely from the following:

(1)        The Authority'srevenues, income, or assets that it specifically assigns or pledges forpayment.

(2)        The funds,collateral, and undertakings of a private party that are assigned or pledged bythat party.

(c)        Bonds and notesissued under this section may be secured by one or more agreements, includingforeclosable deeds of trust and other trust instruments. An agreement maypledge and assign to the trustee or the holders of its obligations the assets,revenues, and income provided for the security of the bonds or notes, includingproceeds from the sale of any special user project or part thereof, insuranceproceeds, condemnation awards, and third‑party agreements, and may conveyor mortgage the project and other property and collateral to secure a bondissue.

The Authority may subordinatethe bonds or notes or its rights, assets, revenues, and income derived from anyspecial user project to any prior, contemporaneous, or future securities orobligations or lien, mortgage, or other security interest.

(d)        Notwithstanding anyother provision of law, the Authority may agree that all contracts relating tothe acquisition, construction, installation, and equipping of the special userproject shall be solicited, negotiated, awarded, and executed by the privateparties for which the Authority is financing the special user project or anyagents of the private parties subject only to approval by the Authority as theAuthority may require. The Authority may, out of the proceeds of bonds or notes,make advances to or reimburse the private parties or their agents for all or aportion of the costs incurred in connection with the contracts.

(e)        Repealed by SessionLaws 2001‑218, s. 5. (1991, c. 749, s. 1; 1993, c. 553, s. 23; 2000‑169,s. 37; 2001‑218, s. 5.)